Quoted by the BBC; "If the euro collapsed, if countries started falling out of the euro in a disorderly way that would have a catastrophic impact on the European economy, and that would have a huge impact on all those British businesses that sell things to Greece to Italy, to France and Germany as well. We would be very badly affected."

Steve Hilton is blamed for briefing against George Osborne

"Several stories have appeared suggesting that “senior figures” in Number 10 are irritated that the chancellor has not intervened to back liberal new employment laws, including a move to allow companies to “fire at will” in return for the payment of compensation. The prime minister’s allies believe the stories are damaging and have originated from Steve Hilton, Mr Cameron’s policy adviser, who is becoming increasingly frustrated at his failure to win support for a more ambitious deregulatory drive." – FT (£)

George Osborne and Vince Cable are pushing for a potentially groundbreaking new road toll scheme to widen the heavily congested A14 – FT (£)

Brodie Clark of Borders Agency has contradicted Theresa May's version of events, accusing her of misleading parliament – BBC

"The civil servant at the centre of the row over relaxed passport controls resigned from the UK Border Agency last night and denounced the Home Secretary for insisting he was to blame for the fiasco. Brodie Clark said that he had left the agency and would sue for constructive dismissal following comments made by the Home Secretary to MPs in the House of Commons." – Times (£)

"Mr Cameron offered little comfort to Mrs May by saying it was "not acceptable" the scandal had gone on for so long — implying she should have sorted it sooner." – The Sun

Immigration comment

"The Coalition has declared its intention to get net immigration down from last year’s level of nearly 250,000 to the tens of thousands. But even that will not be good enough. In order to avoid the population reaching that 70 million, we have to get immigration down to 40,000 a year or less." – Nicholas Soames and Frank Field in The Telegraph

"To put the matter brutally, neither David Cameron nor Theresa May has to live in Southall, Bradford or Tower Hamlets. They do not experience at first-hand the bitterness of traditional English people, who see their communities overtaken, their culture pushed aside, by people who force a path into Britain without the smallest desire, or even willingness, to embrace our ways or share our values." – Max Hastings in the Daily Mail

"Ministers in the Home Office, from the Home Secretary downwards, should be under absolutely no illusion that failing to achieve the modest target set for them well before the next election will have a consequence: the public outcry they have faced these past few days will be as nothing to the wrath that unfolds." – Express leader

Not a single overseas prisoner deported since coalition came to power, admits Clarke – Daily Mail

People who fail to find work despite “intensive” mentoring for two years could be made to do 30 hours of community service a week for 26 weeks a year – Telegraph

"Chris Grayling, the employment minister, said: “We want a welfare state which is a ladder up which people climb, not a place in which they live. “If people who are fit for employment still haven’t managed to find a job after the intensive support provided by the Work Programme, we want them to do community work and get into the habit and routine of work. No one should expect to be able to sit at home doing nothing.”" – Times (£)

"David Cameron promised to kick out thousands of foreign prisoners by securing repatriation deals with non-EU countries. Eighteen months on, how many deals have been struck? None… So forgive us if we can only raise half a cheer for the Government's latest benefits "crackdown". Welfare shirkers will have to do community work or lose their benefits, we're told (again). We'll believe it when we see it."

"Banning England's footballers from wearing a poppy on their shirts is an outrage, David Cameron said yesterday. The Prime Minister told the sport's ruling body to reverse its 'absurd' ruling against 'political' symbols. Fifa is thought to have made the decision to avoid offence being given to German players and fans." – Daily Mail

David Mundell MP talks to Labour MPs about holding an early Scottish referendum

"The Whitehall sources said: “There is no secret plan on the table to hold our own referendum but if there were to be such a plan there is a recognition that it would have to have the backing of the Labour Party in Scotland. If we can get that, then it may be a totally different kettle of fish.”" – Times (£)

"Scotland would be liable for almost €10 billion (£8.4bn) of the eurozone bail-out fund if it were to be allowed into the European Union as an independent country, a new report has claimed." – Scotsman

Looser ties between Scotland and the rest of the UK now seem all but inevitable – Benedict Brogan in The Telegraph

Britain should not pick shale gas, nuclear or renewables; it should invest in a diversity of energy sources – Chris Huhne in The Telegraph

Conservatives should worry about lower income Britons more than it should worry about women's issues – Jackie Doyle-Price MP for the Huffington Post

"In a month which saw the eurozone debt crisis and a rebellion by 81 Tory MPs demanding a Europe referendum, the Tories' average poll rating dropped two points to 35 per cent, while Labour's rose one point to 39 per cent." – Independent

We must not ignore the rights of fathers – Ann Widdecombe in The Express

Student protest to march on City over fees and university "privatisation" – BBC

Daniel Finkelstein: Labour's fairness challenge

"The issue of power and rewards for top people is important but only a part of fairness, a part where Labour is already relatively strong. It is on crime, welfare fraud, the deal for taxpayers and immigration, the other big fairness issues, that Mr Miliband needs to concentrate. To win on fairness he will have to get far tougher on these issues, and talk about little else. And this is something that runs counter to his instincts." – Daniel Finkelstein in The Times (£)

Alistair Darling: Tories plan to put too much power in Bank of England Governor's hands

"If the government has its way, the governor of the Bank of England will be handed unprecedented new powers to shape the British economy. While continuing to set interest rates, the Bank will take over the supervision of commercial banks and insurers, be responsible for identifying and tackling threats to financial stability – entirely new and pretty much uncharted territory – and have the power to restrict lending on mortgages, or order banks to increase their capital… To invest all these powers in one person, the governor, flies in the face of all ideas of modern governance, let alone parliamentary accountability." – Alistair Darling for The Guardian

Gordon Brown should be the hero of all Eurosceptics – Jonathan Freedland in The Guardian

Nearly one in every five staff passholders in the House of Lords is involved in lobbying – Guardian

The ex-wife of Chris Huhne, Vicky Pryce, says she is considering seeking election as a Lib Dem MP – BBC

And finally… Cameron is putting on weight

"I know that I can hardly accuse others of being porky but let us put it like this: Mr Cameron has a pudgy pair of love handles developing. Mr Moobs! It may have to be a Christmas without mince pies in the Cameron household." – Quentin Letts in the Daily Mail

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